The outstanding debt related to the Crackerneck Creek Tax Increment District includes significant payment requirements that exceed projected TIF and special district revenues over the next several years. 

Staff along with Gilmore Bell as our Bond Counsel and Baker Tilley serving as our Municipal Advisor has worked over the past two years to create a refunding option for the outstanding Crackerneck Creek related debt. In April of 2020, the City engaged Goldman Sachs & Co. as the Underwriter for the debt refunding to further refine the plan and to assist with selling the debt. 

Working together, the financing team has developed a long-term plan to make Crackerneck Creek related debt service payments. This can be accomplished by refunding the Series 2006B; 2013A; and 2013B bonds, and adopting a TIF Supplemental Appropriation Policy that appropriates revenues into a sinking fund. When the City's TIF projects reach the end of their life, the City portion of the increment will be deposited into a Supplemental Appropriation Fund in amounts – together with pledged project revenues – necessary to make debt service payments on TIF related obligations. The City Council will use this Fund to appropriate for Crackerneck Creek and other TIF district shortfalls. This approach provides for proactive, planned appropriations while giving the purchasers of City debt more confidence debt payments will be made.